Guangzhou Airport Economic Zone(GAEZ), situated at the north of the city, is an important part of Guangzhou’s “hub-type network city”. With Baiyun International Airport and Guangzhou North Railway Station as the cores, GAEZ is accelerating the construction of the networks of subways, inter-city railways, high-speed and express ways and urban and rural roads and dedicating to building a world-level comprehensive traffic hub. With the acceleration of integration of ports, industries and towns, GAEZ has become a startup core for the airport-type city construction of Guangzhou.
Since the joint approval of Airport Economic Demonstration Zone by National Development and Reform Commission and Civil Aviation Administration of China, the construction of GAEZ has run into the fast lane. From last year to date, GAEZ has attracted more than 600 enterprises to register in the zone and over 100 new projects under negotiation. The total investment of key enterprises including Minsheng E-commerce, China Air Cargo Corporation, Express Pay and DHL reached 26.95 billion yuan.
So far, the roof of the main framework of the Terminal 2 of Baiyun Airport has been sealed. T2 is scheduled to be used in February next year. YT Business FBO Base will be put into operation in October this year. The north section of the Airport 2nd Expressway started construction. As another growth polar of urban economy, the airport has possess of the force to change urban layout.
Refit of passenger aircraft to cargo aircraft brings “a big cake”
Aviation maintenance and manufacturing, commercial conventions and exhibitions, aviation logistics, aviation headquarters, cross-border E-commerce and financing lease are defined by Guangzhou as the key industries to be developed in GAEZ. In the future, relying on the increasingly improved expressways, highways, high-speed railways, Pearl River Delta inter-city railways and other traffic network, the influence of Pearl River Delta city cluster and peripheral provinces and cities will be improved. By means of Datian Hub Station, the logistics between the airport and Datian will be intensified to connect the three ports, cover South China and intensify Guangzhou’s position as an international aviation hub.
Three years ago, backed by the world’s biggest third-party aviation manufacturing and maintenance giant ST Aerospace, Guangzhou ST Aerospace Technology(STAG) started the operation of the Hangar G2 in GAEZ. And the Hangar G2 was also put into use within three years. This February, STAG initiated the cooperation memorandum for the refit of Airbus passenger aircraft to cargo aircraft to refit the special commercial passenger aircraft to cargo ones.
“Now, we are accelerating the preparatory work for the construction of Hangar G3. Meanwhile, 10 hangars will be built and space for 5 hangars be reserved to forge a world-level aviation maintenance base for the future plan,” said the person in charge of STAG. The company’s business of refitting passenger aircraft to cargo aircraft alone will have a market size of $5.0 billion. It will also promote the interactive development of the upstream and downstream industries of aircraft maintenance, such as aviation material manufacturing, aircraft lease and second-hand aircraft transaction etc.
Another important aircraft maintenance enterprise GAMECO also increased investment to expand production capacity and boost the construction of its Hangar Phase III Project and composite material center. Now, GAMECO is working on the maintenance orders for domestic and foreign A380 airplanes. With its increasing technologies, Guangzhou will enter the domestic and foreign large-size passenger aircraft maintenance markets.
More Fortune 500 corporations come after FedEx’s settlement in Guangzhou
Attracted by the enormous development opportunities, numerous domestic and foreign industrial leaders landed GAEZ, including Fortune 500 corporations like Lockheed Martin, Boeing and FedEx.
According to news from Invest Guangzhou, recently, Guangzhou Fedex Logistics Co.,Ltd, a solely funded legal company under FedEx, was established in GAEZ. FedEx Asia-Pacific Transfer Center, boasting a cargo sorting capacity of 35,000 pcs/hr and 154 flights per week, offers “delivery on the following working day” for 20 major Asian cities and connects more than 220 countries and regions across the world.
Groups of sensitive businessmen followed FedEx to visit GAEZ. Relying on the renowned world factory Pearl River Delta City Cluster, GAEZ obviously speeds up its pace on building an Asian Logistics Distribution Center. In the past year, YTO Express, China Air Cargo Corporation, DHL and other noted logistics enterprises aimed at GAEZ for their airport logistics projects and successively signed strategic and investment agreements.
Last October, Fortune 500 corporation Greenland Group teamed up with Guangzhou’s International Airport Center for investment promotion to forge the place into a headquarters cluster for aviation economies. Last December, the Suijia South China Air-Land Inter-mode Distribution Hub project officially broke the ground, marking the rise of a new logistics and supply chain development platform. Last August, China-Australia-Singapore-Korea Free Trade Industrial Park, integrating the functions of goods trade, service trade, headquarters economy and commercial services, started construction and was planned to be put into operation at the end of this year.
In addition, the construction of other projects and platforms is still accelerating, such as the Baiyun Airport Comprehensive Bonded Area (Phase II) and Supportive Projects, Baiyun Airport Megabuilding Complex, Guangzhou Aviation Industrial Base (Phase I) and Guangzhou Airport Cross-border E-commerce Experimental Park.
Besides the said enterprises, a number of domestic and foreign aviation enterprises including Longhao Air, China Eastern Airlines, 9air, Finn Air, Qatar Airways, Royal Jordanian Airlines and AirAsia Philippines, also landed GAEZ. Moreover, they signed strategic and investment agreements with YTO Express, Minsheng E-commerce, China Air Cargo Corporation, DHL, Baoneng and other key aviation logistics projects. And more than 500 enterprises including GF Securities and AVIC Civil Aircraft Maintenance Company were attracted to GAEZ for registration.
As for the successive arrivals of Fortune 500 and other noted enterprises, experts gave two reasons. On one hand, the development of Guangzhou aviation industrial chain will make aviation a major or leading industry in Guangzhou or even the Pearl River Delta, and play an important role in the industrial transformation and upgrading in the city and the region. On the other hand, this will lead the aviation-targeted high-tech industrial development. The development of airport economy and industries based on GAEZ will enable the clustering development of high-tech industries and create conditions for the development.
The 26.95billion yuan investment to greater GAEZ sets a model nationwide airport economy
Currently, the living quality improvement and consumption upgrading bring greater demands for worldwide tours. The development of airport economy will boost tourism and related industries and realize people’s wish for global tours easier. Statistics indicate that the passenger throughput of Baiyun Airport in 2016 was 59.78 million trips. With the operation of T2 of the airport, its passenger throughput will reach 80 million trips in 2018.
In the future, with the construction of the 4th and 5th runways and T3 in the airport and the optimization of the land transport network and airspace resources, Baiyun Airport will hopefully achieve the passenger throughput of 90-95 million trips by 2025 and become one of the world’s important comprehensive aviation hubs.
Meanwhile, as a great strategy for the country’s development in the 21st century, GAEZ will build Guangzhou International Aviation Center against the national strategy backdrop through realizing urban economic engine functions based on hub economy and industrial clustering. The strategic significance of GAEZ will be much higher than the normal industrial project. It is a starting point of the city transformation.
Powerful functions with the hub development will lead the economic rise of the influential areas and change the economic layout of the cities. No doubt, GAEZ, boasting Baiyun Airport, one of China’s three major airport hubs, and a compound large hub system consisting of aviation, high speed railways, subways, inter-city rails, expressways, highways, and urban and rural road networks, has become a promising land of urban prosperity.
It is just because GAEZ’s pooling of transport, policies and other motivations that domestic and foreign aviation enterprises and airport enterprises swarmed to Guangzhou this year. It is said that GAEZ has more than 100 new projects under negotiation with the planned investment of 26.95 billion yuan this year. GAEZ will form the industrial development direction with aviation logistics, aviation commerce and aviation manufacturing as the core, focus on the implementation of “innovation-driven” development strategy and strive to build an international airport industrial development platform.